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THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY
USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT
POLICY
Date:
GAIN Report Number:
Approved By:
Prepared By:
Report Highlights:
EU-28 production of peaches and nectarines in MY 2016/17 is estimated at almost 3.7 million MT, 6
percent lower compared to the previous harvest due to unfavorable weather conditions with
considerable decreases in the main European producers, Spain and Italy, while Greek production shows
an increase. Total cherry production in MY 2016/17 is projected at 623,664 MT, or almost 11 percent
decrease compared with last season, where the growth in Poland and Spain could not compensate for
the decline that may occur in Italy and Greece. In MY 2015/16, despite the Russian ban, EU-28 exports
reoriented mainly to North Africa, Asia, Belarus and Moldova. During MY 2015/16 volumes of
cherries imported from the United States decreased 63 percent. U.S. cherries exports may also be hit by
Carmen Valverde, Agricultural Specialist
Karisha Kuypers, Agricultural Attaché
2016
Stone Fruit Annual
EU-28
SP1618
8/19/2016
Required Report - public distribution
French pesticide ban.
Disclaimer: This report presents the situation and outlook for stone fruit including peaches, nectarines
and cherries in the EU-28. The report presents the views of the authors and does not reflect the official
view of the U.S. Department of Agriculture (USDA). The data are not official USDA data.
This report was written with the contributions of the following Foreign Agricultural Service analysts:
Xavier Audran FAS/Paris covering France
Ornella Bettini FAS/Rome covering Italy
Dimosthenis Faniadis FAS/Rome covering Greece
Mila Boshnakova FAS/Sofia covering Bulgaria
Mira Kobuszynska FAS/Warsaw covering Poland
Sabine Lieberz FAS/ Berlin covering Germany
Gellert Golya FAS/Budapest covering Hungary
Carmen Valverde FAS/Madrid covering Spain and Portugal
Tania de Belder FAS/USEU Brussels covering the EU policy section
Abbreviations and definitions used in this report
GTA Global Trade Atlas
Ha hectare; 1 ha = 2.471 acres
HS Codes Harmonized System codes for commodity classification used to calculate trade data.
Peaches and nectarines HS Code 080930
Cherries HS Code 080921, 080929
MT Metric ton = 1,000 kg
MMT Million metric tons
MS EU member state(s)
MY Marketing year: January/December
EU-28: including Croatia
Note: The European Union Member States (MS) are mandated to annually provide the EU Commission
with data concerning the “production area” of permanent crops. This means “the area that can
potentially be harvested in the reference harvest year. It excludes all non-producing areas, such as new
plantations that have not yet started to produce” (Regulation (EC) No 543/2009 of the European
Parliament and of the Council of 18 June 2009, Article 2 (f)). In this report this corresponds to the line
“Planted Area”. Some MS also publish harvested data, but not all of them, and as such in this report the
line “Area Harvested” is an FAS Post estimate.
Executive Summary
The main EU-28 producers of peaches and nectarines are Spain, Italy, Greece and France, in this order.
The area planted of peaches and nectarines in the EU stabilized in MY 2015/16 at around 232,000 ha
and according to FAS post projections the production area is projected to remain stable in MY 2016/17.
This is the result of productivity gains achieved with the introduction of new and higher yielding
varieties that bring more diversity in the types of fruit and spread in harvest dates where Spain is gaining
ground.
Production of peaches and nectarines in MY 2016/17 for the EU-28 is estimated at almost 3.7 million
MT, 6 percent lower compared to the previous campaign MY 2015/16 due to unfavorable weather
conditions with considerable decreases in the main European producers, Spain and Italy. In MY
2016/17 fresh consumption of peaches and nectarines is projected to decrease 4.5 percent reaching
almost 2.7 MMT.
The EU-28 is a net exporter of peaches and nectarines. The main suppliers of peaches to the EU-28 in
MY 2015/16 were Chile and South Africa. The EU’s exports of peaches and nectarines were valued at
197 million USD in MY 2015/16, a 49 percent decrease despite a 16 percent lower volume from the
previous year reaching 296,750 MT. Despite the Russian ban, EU-28 exports reoriented to other
markets such as North Africa, Algeria, and Brazil.
Due to lower production forecasts in MY 2016/17, imports of peach and nectarine to EU-28 may
increase and exports may decrease.
The main EU-28 producers of fresh cherries are Poland, Italy, and Spain. Traditionally Germany was in
forth position, but in the last years, Greece and Hungary have surpassed German cherry production.
Poland is the EU’s largest producer and cherry processor, transforming 75 percent of its cherry
production. Spain is the biggest exporter due to its early season harvest. Italy is the number one
consumer of fresh cherries. According to FAS projections, the updated data of total EU planted area of
cherries estimates an area of around 152,000 ha in MY 2016/17.
Total cherry production in MY 2016/17 is projected at 623,664 MT, or an almost 11 percent decrease
compared with last season, where the growth in Poland and Spain could not compensate for the decline
that may occur in Italy and Greece. Consumption of fresh cherries in the EU is estimated at 378,738
MT in MY 2016/17, remaining stable.
The EU imports of fresh cherries were valued at 134 million USD in MY 2015/16, a 22 percent decrease
from the previous year with a total volume of almost 36,737 MT or 13 percent lower than previous year.
According to GTA, the EU-28 during MY 2015/16, the volume of cherries imported from the United
States decreased 63 percent reaching 795 MT and 5.6 million USD, or a decline of 57 percent. While
the U.S. was the third largest non-EU supplier of cherries to France, after Turkey and Chile, France’s
decision to ban imports of cherries (at least until 12/31/2016) from countries where dimethoate can be
legally used on cherry trees effectively cut access to the French market for U.S., Canada and Turkish
cherries.
The EU exports of fresh cherries in MY 2015/16 were valued at 53 million USD, a 30 percent decrease
from the previous year even with a 22 percent higher volume, reaching 47,600 MT, meaning a current
difficult situation on EU cherry prices. The main destinations for EU-28 cherries in MY 2014/15 were
Russia, Belarus and Switzerland but in MY 2015/16 EU-28, cherry exports to Russia were negligible
due to the Russian embargo. In MY 2015/16 the main destinations of cherries to Belarus, Moldova,
Switzerland and Serbia experienced important growth, resulting that new markets are showing growth
for the second year in a row.
Due to lower production forecasts in MY 2016/17 imports of cherries to EU-28 may increase and
exports may decrease.
Commodities
Fresh Peaches & Nectarines
The main EU-28 producers of peaches and nectarines are Spain, Italy, Greece and France, in this order.
There is also limited production in other EU MS, including Hungary, Portugal, Bulgaria and Poland.
Italy used to be the EU’s largest producer but in the last years Spain is the biggest producer and exporter
due to its early season harvest and yielding varieties. Greece is the leading EU peach processor.
Crop Area
The area planted of peaches and nectarines in the EU stabilized in MY 2015/16 at around 232,000 ha
and according to FAS post projections the production area is projected to remain stable in MY 2016/17.
This is the result of productivity gains achieved with the introduction of new and higher yielding
varieties that bring more diversity in the types of fruit and spread in harvest dates.
On the other hand, due to its competitiveness, Spain is gaining market share at the expense of other main
producers as shown by Spain’s increase in planted area in the last years. In Spain, the production area is
moving southwards to take advantage of an extra-early harvest which is possible with a number of low-
chilling varieties. The growing of peach and nectarine trees is concentrated in the regions of Cataluña,
Aragón and Murcia, along the Mediterranean arch. Andalusia and Extremadura are also important
growing regions. Spanish crop area is around 86,000 ha.
Italian crop area is around 72,000 ha. Stone fruit production plays a key role in the agricultural sector of
several Italian regions, both in the North (especially in Emilia-Romagna and Piedmont) and in the South
(Campania). The bulk of the Italian harvest occurs in June and July.
Greek farms are typically up to five hectares, much smaller than the average size in either the rest of the
EU or the United States. According to industry estimates, there are approximately 48,000 hectares
currently cultivated for peaches and nectarines. The main producing areas include four areas (Imathia,
Pella, Pieria, Kozani) of Central Macedonia located in northern Greece, and the area of Larissa, in
Thessaly, Central Greece. Most of the crop is harvested in June and July.
In France, peaches and nectarines orchards continued to shrink due to poor economic conditions
combined with losses of trees due to the Sharka disease, reaching almost 10,000 ha.
In Hungary, the total harvested area of peaches is about 5,700 hectare. Most of the orchards are in the
southern part of the Hungarian Great Plain. The relative number of trees is low (350-500/hectare) and
the average age of orchards is 15-24 years on more than 40 percent of the growing areas.
Production
Production of peaches and nectarines in MY 2016/17 for the EU-28 is estimated at almost 3.7 million
MT, 6 percent lower compared to the previous campaign MY 2015/16 due to unfavorable weather
conditions with considerable decreases in the main European producers, Spain and Italy. Production in
the main producing countries is shown in Table 1 below.
Table 1. Major EU Fresh Peach & Nectarine Producers by Volume in MT
Country MY 2014/15 MY 2015/16 MY 2016/17
Spain 1,573,500 1,509,400 1,397,500
Italy 1,382,137 1,408,504 1,259,093
Greece 744,500 685,000 715,000
France 234,031 217,141 205,600
Source: FAS Europe offices
Spain
Spain has become in the last 3 seasons the largest peach and nectarine producer in EU-28. A growth for
both peaches and nectarines production in the country’s most important regions, Aragón, Cataluña and
Murcia, together with the important increases in Extremadura, Andalusia and Region of Valencia, are
the main factor for the higher overall Spanish production of peaches and nectarines. There has been an
increase of early and mid-season peaches, mainly due to good flowering and fruit set, as well as the
entry into production of new varieties. Spanish stone fruit has an important advantage in terms of
quality due to the vast varietal renewal that has taken place in recent years. Newer varieties with more
intense flavors and color have been planted.
According to the latest official estimations of the Spanish Ministry of Agriculture, Food and
Environment (MAGRAMA), peach and nectarine production in Spain for MY 2016/17 is projected to
reach almost 1.4 MMT accounting for almost 40 percent share of the total EU-28 peach and nectarine
production. This is 7 percent lower compared to the previous season due to unfavorable weather
conditions that resulted in a production with lower fruit yields per tree, but very good quality and
calibers. Peach production is forecast at 797.500 MT, while nectarine production is forecast at 600,000
MT or 10 and 5 percent lower than previous year respectively.
Italy
In Italy peach production is forecast at 536,341 MT (588,860 MT in MY2015/16), while nectarine
production is forecast at 649,199 MT (735,978 MT in MY2015/16), accounting for 34 percent of total
EU-28 peach and nectarine production. The cling peach harvest is likely to reach 73,553 MT (83,666
MT in MY2015/16). Peach production is expected to drop in the South, especially in Campania, while
nectarine production is predicted to fall mostly in the North. Progressive harvests are expected with no
overlaps. Moreover, according to Italy's Fresh Produce Service Centre (CSO), despite the lower product
availability, the fruit should be available gradually and better distributed throughout the season. Fruit
quality is forecast to be very good.
Greece
Greece’s MY 2016/17 peach and nectarine production is preliminary forecasted to increase by only 4.4
percent although initial forecasts suggested higher production increase but frost occurred during spring
time significantly reduced yields. Fresh peaches production is forecast to increase by approximately 12
percent, while nectarines production is forecast to remain flat (at approximately 120,000 MT). Greece’s
MY2016/17 cling peach crop is forecast to decline by 1.7 percent (297,000 MT), because of unfavorable
weather conditions during fruit set.
France
France’s peaches and nectarines crop is expected to be down 5 percent compared to previous season and
11 percent compared to the 5 year average due to lower production area and unfavorable weather
condition throughout the late spring season.
Hungary
In MY 2016/17, spring frost did not cause significant damages to the orchards and draught and
hailstorms did not affect the production negatively, unlike last year. Therefore, higher production is
expected reaching 44,300 MT.
Portugal
In Portugal, the peach and nectarine orchards are mostly located in the inland center region. According
to Portuguese official data, peach production in MY 2015/16 reached 46,000 MT and may remain flat in
MY 2016/17. Nectarine production in Portugal is negligible.
Bulgaria
In MY 2016/17 average yields are expected for peach and nectarine due to a dry summer. In peach
orchards, a sudden drop in temperatures and freeze in the spring (mid-May) led to losses in some regions
(Rousse, Silistra). In other regions, yields are also expected to decline by 10 percent-20 percent and/or
quality is likely to deteriorate. Peach and nectarine production in MY 2016/17 may reach 34,200 MT.
Poland
In 2016 production of peaches is forecast at 9,600 MT, 3 percent lower than in the last year. In the last 2
years peach orchards area diminished to 2,500 hectares or 7.4 percent decline. The biggest peach
orchard in the region of Lower Silesia in Poland was cut off in 2015. Orchard owners’ interest in peach
cultivation diminished in Poland last year. Another consecutive year of low prices for peaches made
some growers to switch for other varieties fruit production.
Decline in production is expected to be much smaller than the decline in crop area due to very favorable
weather conditions during this season. The main problem for Polish peach growers is constant lack of
enough soil moisture and lack of capital for investments in orchard irrigation.
Consumption
In MY 2016/17 fresh consumption of peaches and nectarines is projected to decrease 4.5 percent
reaching almost 2.7 MMT. Peaches and nectarines for processing may also decrease 8 percent due to a
lower supply compared to previous year.
Most Italian and Spanish peaches and nectarines are consumed fresh. Consumers in southern countries
generally prefer large, sweet, and pulpy fruits, while the North European markets prefer smaller, slightly
sour, and crunchy fruits. Apart from the economic situation and the industry’s concern for the
increasing complexity of the destination markets, the overall goal is to encourage consumption for a
product that is the main summer fruit. Greek nectarine production is destined mainly for the fresh
market; freestone peaches are used for fresh consumption, and clingstone peaches are predominantly
used in processing. In France, consumption is expected to remain stable due to good weather conditions
throughout the late spring and summer. In the last 10 years, annual fruit consumption fluctuated
between 37.5 and 48.5 kg/capita in Hungary. Stone fruits (including peaches and nectarines) had a
significant share of the domestic consumption. Almost the entire nectarine and peach production is for
domestic use and the market is determined by demands.
Trade
The EU is a net exporter of peaches – with exports largely exceeding imports.
Imports
As seen in Table 2 below, the main suppliers of peaches to the EU-28 in MY 2015/16 were Chile and
South Africa. More than half of total imports are sourced in the southern hemisphere and are imported
during the European off-season. The EU’s imports of peaches and nectarines were valued at 73 million
USD in MY 2015/16 with 28,200 MT, 8 percent higher than previous year due to the decrease in
production.
In the first half of 2016 EU-28 imports of peaches and nectarines increased 11 percent with imports
from Chile and South Africa at normal volumes while imports from Turkey increased 103 percent. Due
to lower production forecasts in MY 2016/17 imports may increase.
Table 2. EU-28 Imports of Fresh Peaches & Nectarines by Origin in MT
Country of Origin MY 2013/14 MY 2014/15 MY 2015/16
Chile 10,856 4,344 9,923
South AFRICA 7,617 8,997 8,879
Morocco 4,940 5,279 4,791
Turkey 2,483 1,679 1,580
Macedonia 1,514 1,256 614
Others 4,554 4,535 2,413
Total Imports 31,964 26,090 28,200
Source: GTA
Exports
The EU-28 is a net exporter of peaches and nectarines. The EU’s exports of peaches and nectarines
were valued at 197 million USD in MY 2015/16, a 49 percent decrease despite16 percent lower volume
from the previous year reaching 296,750 MT. Despite the Russian ban, EU-28 exports reoriented the
markets. The main destination for EU-28 peaches and nectarines in MY 2015/16 was Belarus with a
123 percent increase from MY 2014/15, surpassing Russia as a first destination with a 99 percent
decline reaching 0 MT (See Table 3). The EU’s major producers compete for sales within the European
market. Thanks to an earlier harvesting period with good quality products, Spain dominates the
European market. Spanish total exports in 2015 were 851,711 MT from which 92 percent of its peach
and nectarine exports go mainly to the EU-28. The main destinations are Germany (201,520MT),
France (144,743 MT) and Italy. The 100 percent decreased to Russia were compensated with an
increase of exports to other Member States and to new markets such as North Africa (Algeria and
Egypt), Brazil and Asia. In addition China authorized since July 2016 the imports of peaches from
Spain. In 2014, Italy exported 298,442 MT of peaches and nectarines, 19 percent less than 2013.
Lower volumes were exported to Germany (-12 percent), the leading destination, representing 44
percent of total exports.
In 2015, Italy exported 258,685 MT of peaches and nectarines, 13 percent less than 2014. Lower
volumes were exported to Germany (-21 percent), the leading destination, representing 40 percent of
total exports. In 2015, Italy imported 97,179 MT of peaches and nectarines, a surge of 29 percent
compared to 2014 driven by the increased volumes from Spain (+27 percent), the main supplier
accounting for approximately 84 percent of total imports.
In 2015, Greece exported 153,033 MT of fresh peaches and nectarines, mainly to Romania (26,907
MT), Bulgaria (20,111 MT), Lithuania (16,783 MT), and Turkey (12,764 MT).
France has a massive peaches and nectarines trade deficit, importing five times more than it exports.
Spain accounts for more than 90 percent of French peaches and nectarines imports, while Morocco
became the largest third country supplier. Belgium, Switzerland and Germany are the largest customers
of French peaches and nectarines exports.
Due to lower production forecasts in MY 2016/17 exports may decrease.
Table 3. EU-28 Exports of Fresh Peaches & Nectarines by Destination in MT
Country of Destination MY 2013/14 MY 2014/15 MY 2015/16
Belarus 28,460 71,042 158,692
Switzerland 29,803 29,181 32,150
Ukraine 29,494 37,828 15,875
Turkey 350 6,432 12,292
Algeria 6,082 13,704 11,415
Brazil 10,440 11,704 10,839
Others 202,880 187,107 55,487
Total Exports 307,509 356,998 296,750
Source: GTA
Production, Supply and Demand Data
Table 4. Production, Supply and Demand Data Statistics
Fresh Peaches & Nectarines
EU-28
2014 2015 2016
2014/15 2015/2016 2016/2017
Market Year Begin: Jan
2014
Market Year Begin:
Jan 2015
Market Year Begin:
Jan 2016
USDA
Official New Post
USDA
Official New Post
USDA
Official New Post
Data Data Data
Area Planted 232,438 233,217 232,778 232,601 232,110
Area Harvested 214,121 214,114 213,110 210,654 210,260
Bearing Trees 0 0 0 0 0
Non-Bearing Trees 0 0 0 0 0
Total Trees 0 0 0 0 0
Commercial Production 4,140,521 4,014,672 3,986,400 3,913,647 3,699,230
Non-Comm. Production 41,823 40,552 40,300 39,532 37,063
Production 4,182,344 4,055,224 4,026,700 3,953,179 3,706,293
Imports 26,400 26,090 28,000 28,200 30,000
Total Supply 4,208,744 4,081,314 4,054,700 3,981,379 3,736,293
Fresh Dom. Consump. 2,859,615 2,731,560 2,821,900 2,816,705 2,688,962
Exports 357,400 356,998 310,000 296,750 265,000
For Processing 971,729 972,756 882,800 827,924 762,331
Withdrawal From 20,000 20,000 40,000 40,000 20,000
Total Distribution 4,208,744 4,081,314 4,054,700 3,981,379 3,736,293
HA, 1,000 TREES, MT
Source: FAS Europe offices
Commodities
Fresh Cherries (Sweet & Sour)
The main EU-28 producers of fresh cherries are Poland, Italy, and Spain. Traditionally Germany was in
forth position but in the last years, Greece and Hungary have surpassed German cherry production (See
Table 5). Poland is the EU’s largest producer and cherry processor transforming 75 percent of its cherry
production. Spain is the biggest exporter due to its early season harvest. Italy is the number one
consumer of fresh cherries.
Crop Area
According to FAS projections, the updated data of total EU planted area of cherries estimates an area of
around 152,000 ha in MY 2016/17.
Production
Total cherry production in MY 2016/17 is projected at 623,664 MT, or almost 11 percent decrease
compared with last season, where the growth in Poland and Spain could not compensate the decline that
may occur in Italy and Greece.
Table 5. Major EU Fresh Cherries (Sweet & Sour) Producers by Volume in MT
Country MY 2014/15 MY 2015/16 MY 2016/17
Poland 224,600 228,000 235,000
Spain 111,800 86,100 87,500
Italy 110,766 111,119 70,000
Greece 66,600 84,700 60,000
Hungary 91,850 65,000 60,000
Germany 56,922 48,564 48,088
Source: FAS Europe offices
Poland
In the EU, Poland is the leader in cherry production, with almost 40 percent share of the total EU cherry
production. Cherries are the main stone fruits cultivated in Poland.
In MY 2016/17 total sweet and sour cherries production in Poland is expected to increase in comparison
with last year by 3.1 percent. Total production of cherries (tart and sweet) is forecast at 235,000 MT.
The total number consists of 185,000 MT sour cherries and 50,000 MT sweet cherries. Cherry
orchard’s acreage was smaller by 1.5 percent than in 2015 and amounted to 38,500 hectares.
Winter 2015/16 was another mild winter in Poland. There were no winter losses in the number of
cherry trees. Cherry plantations came into the 2016 season in a very good shape. The area planted
diminished as some farmers gave up unprofitable production. 2016 is the second consecutive year of
very low farm gate prices for cherries in Poland. Cherry growers suffer from lack of capital for
investments, mostly for necessary irrigations. The cherry crop in 2016 is high but the quality of fruits is
diverse. The main problem for cherry growers is lack of soil moisture what weakens cherry trees
immunity against pests. Due to the low production profitability, many orchards were not protected
enough against pests and diseases.
Italy
Italy’s MY 2016/17 cherry production is preliminarily forecast at 70,000 MT. Southern Italy, which
accounts for two thirds of the national cherry production, is forecast to register a production decrease
(especially for early varieties), due to adverse weather conditions during fruit set and the Drosophila
Suzuki fruit fly. Overall, calibers are on average, but the quality registered is not as good as last year.
Bigarreau and Giorgia varieties are forecast to register lower quantities than the excellent past
campaign. Despite the lower production, the Italian cherry area is forecast to keep an upward trend,
thanks to new orchards entering in regime in Veneto, Piemonte, Trentino, Emilia-Romagna, and Puglia.
Turi (Puglia), Vignola (Emilia- Romagna), Verona (Veneto), and Cuneo (Piedmont) are the main cherry
producing areas.
Spain
According to the Ministry of Agriculture, Food and Environment (MAGRAMA) Spanish cherry
production for MY 2016/17 is projected at 87,500 MT, 1.6 percent rise from the previous year’s level.
The main cherry producing areas are Extremadura, accounting for over 35 percent of Spain’s total, and
Aragon, responsible for over 20 percent of Spain’s production.
In Spain, cherry harvesting takes place from the end of April through mid-August. The dominant
varieties are: Napoleon, which is sold fresh and used for jams; Ambrunesa, which is a late variety with a
crispy consistency and sweet taste; and, Burlat, an early harvested variety bearing a thick fruit with red,
strong, juicy and sweet pulp. Some new varieties include Starking, Lapins, Summit, Vittoria, Van
(California), Picota and Sandy. The sour varieties include Richmond, Montmorency, and Morello.
Greece
Greece’s MY 2016/17 cherry season is forecast to decrease 29.2 percent after a record production in
2015, because of the warm winter and unfavorable weather conditions during blossom, which
minimized fruit set.
Pella and Imathia in Northern Greece are the main producing areas.
Hungary
Cherry crops accounts for about 10 percent of the total fruit production of the country. Although tart
cherry area has increased since 2014, yield varied significantly.
In MY 2016/17 frosts damages in late spring may result in lower production estimated at about
60,000MT. Annual sweet cherry production is around 9,000-10,000MT in Hungary but late spring frost
and the relatively high amount of precipitation at ripening has decreased the yield and the quality of
sweet cherries this year.
The main production areas are Bács-Kiskun and Szabolcs-Szatmár-Bereg Counties.
Germany
German total cherry production for MY 2016/17 is estimated at 48,088 MT or 1 percent below last year
and 9 percent below the average of the preceding ten years. This is the second year in a row with below
average production resulting from heavy rains, hail, and frost during flowering. However, this masks a
different development in the sweet and tart cherry sector. Sweet cherry production is estimated at
32,353 MT, an increase of 3 percent compared to previous season, while tart/sour cherry production is
estimated at 15,735 MT, a decrease of 8 percent. This is in line with the trend in Germany cherry
growing toward sweet cherries and away from tart cherries.
France
After an already lower crop in MY 2015/16, France’s cherries crop in MY 2016/17 may also decline due
to an excess of rain throughout the spring combined with hail storms and strong winds in early June in
the main producing regions. Area planted to cherry trees continued to decline as old orchards are not
systematically renewed. Producers blame the lack of new disease resistant varieties as well as the high
production cost.
In the main producing regions (southern half of France), there were reports of large pest and fungal
infestation, especially Drosophila Suzukii and Moniliosis in several production areas. The French
decision to ban a pesticide (Dimethoate) efficient against Drosophila Suzukii may have enhanced the
losses (See Policy Section).
Bulgaria
The general prospects for the MY2016/17 season show cherry production to be 17 percent lower than in
the previous year reaching 43,500 MT due to unfavorable weather conditions. Farmers reported that
early and medium early sweet cherry varieties yields and production were sharply downward with a
reduction in some locations reaching 50 percent. Spring rains and hail storms have reportedly caused
losses in cherry orchards in the major production region of Kyustendil.
Sweet cherries are the second most important fruit after apples and peaches follow third. In recent
years, farmers have increased their investment in cherry orchards and new foreign investment was
attracted to cherry processing.
Portugal
In Portugal in MY 2016/17, projections point to stable production compared with last year.
Consumption
Consumption of fresh cherries in the EU is estimated at 378,738 MT in MY 2016/17, remaining stable.
Italy is the biggest consumer of fresh cherries while Poland processes 75 percent of its cherry
production. Cherries for processing may remain stable in MY 2016/17.
Sweet cherry is a seasonal fruit consumed as fresh and unprocessed. Sour cherry is utilized principally
by the processing industry. The main sour cherry products are frozen fruits, juice concentrates and jams
or marmalade. In countries such as Spain, Portugal, France, Italy and Greece, domestic consumption is
almost exclusively for fresh use, with minor amounts bought by the brining and processing industry. In
Germany, fresh cherries are considered a seasonal product and stocked in supermarkets mainly during
the German marketing season (July/August). In contrast, peaches are stocked year round but are hardly
grown in Germany. This explains the lower per capita consumption of cherries (2.2 kg) compared to
peaches (3.7 kg). Consumer preferences clearly trend towards larger sizes (>28 mm). Smaller cherries
can only be marketed at a large discount.
The use of tart cherries for processing is relatively stable and roughly amounts to 75-90 percent of the
German domestic production. The majority of tart cherries are used for canning (over 80 percent), while
the remainder finds its way into juice production. The percentage of sweet cherries used for processing
fluctuates between 20 and 50 percent depending on the weather during harvest.
In Hungary, average per capita fruit consumption is under the EU-28 average. The majority of cherries
harvested are destined for fresh exports and the processing industry.
In France, poor weather conditions in the late spring / early summer negatively impacted the consumers
demand to its lower level since 2012, but the shorter crop kept price strong.
Trade
The EU is a net exporter of cherries but with trade values almost balanced. However, during MY
2016/17 EU-28 imports of cherries may be higher than EU-28 cherry exports due to the expected decline
in supply. These are sourced mostly from Turkey, the world’s leading cherry producer (Table 6).
While the main destinations for the major EU producers are other Member States, the most important
external destinations are Switzerland and Belarus with Serbia and Moldova experiencing important
growth.
Imports
The EU imports of fresh cherries were valued at 134 million USD in MY 2015/16, a 22 percent decrease
from the previous year with a total volume of almost 36,737 MT or 13 percent lower than previous year.
According to GTA, the EU-28 imported 2,155 MT of cherries from the United States in MY 2014/15, a
rise of 52 percent valued at 13 million US Dollars, 30 percent above MY 2013/14. During MY 2015/16
volumes of cherries imported from the United States decreased 63 percent reaching 795 MT and 5.6
million USD or a decline of 57 percent.
France has a large trade deficit in cherries, the bulk of imports coming from EU-28 (mainly Spain
followed by Germany). While the U.S. was the third largest non-EU supplier of cherries to France, after
Turkey and Chile, France’s decision to ban imports of cherries (at least until 12/31/2016) from countries
where dimethoate can be legally used on cherry trees effectively cut access to the French market to U.S.,
Canada and Turkish cherries. France imported U.S. Cherries in July, August and September when the
domestic/EU supply weakened. Those cherries were imported fresh by air cargo and are often
purchased by restaurants.
Germany is the third largest importer of cherries in the world, after China and Russia. German imports
vary between 45,000 and 70,000 MT of cherries annually; the majority originates from other EU
member states, mainly Austria, Italy, and Spain for sweet cherries and Hungary, Poland, and the Czech
Republic for tart cherries. The largest non-EU suppliers are Turkey for sweet cherries and Serbia for tart
cherries. Separate customs codes for sweet and tart cherries were only introduced in 2012. Since then
Turkey has increased its market share in German sweet cherry imports from 3 percent to 14 percent. For
MY 2016/17, imports are forecast to increase, as Poland, and Serbia, major tart cherry suppliers to
Germany, and Turkey for sweet cherries report optimal growing conditions.
In MY 2015/16, Italy imported 10,285 MT of cherries, mainly from Spain, Turkey, and Austria while
Spain imported only 1,590 MT, mainly from Chile and Argentina.
During the first half of 2016, imports of cherries to the EU-28 increased 121 percent with Turkey and
Serbia experiencing important growth, resulting in an expected overall growth of EU-28 cherry imports
for MY 2016/17.
Table 6. EU-28 Imports of Fresh Cherries (Sweet & Sour) by Origin in MT
Country of Origin MY 2013/14 MY 2014/15 MY 2015/16
Turkey 26,864 25,294 28,284
Chile 3,089 4,940 2,992
Serbia 15,510 6,834 2,106
Argentina 519 687 929
United States 1,420 2,155 795
Canada 466 1,064 675
Others 1,811 1,363 956
Total Imports 49,679 42,337 36,737
Source: GTA
Exports
The EU exports of fresh cherries in MY 2015/16 were valued at 53 million USD, 30 percent decrease
from the previous year with 22 percent higher volume, reaching 47,600 MT meaning a current difficult
situation on EU cherry prices. The main destinations for EU-28 cherries in MY 2014/15 were Russia,
Belarus and Switzerland but in MY 2015/16 EU-28 cherry exports to Russia were negligible due to the
Russian embargo. In MY 2015/16 the main destinations Belarus, Moldova, Switzerland and Serbia
experienced important growth resulting that new markets are showing growth for the second year in a
row.
Poland’s MY 2015/16 total exports of fresh dessert cherries were higher than in 2014 by 43 percent. In
2015 fresh sweet and sour cherries fruit exports (including EU-28 trade) amounted to 17,580 MT,
valued at US $13.1 million. The value of total cherry exports diminished by 7 percent compared to 2014.
Export destinations changed for Polish cherry exporters in the last two years. Until 2014 Russia was the
main cherry export market for both tart and sweet cherries capturing 60 percent of Poland’s total cherry
exports. In MY 2015/16 the main destination of export sales are EU member states, sourcing mostly
fruits for processing. Now Germany is the main export destination for sour cherries, capturing 45
percent of Poland’s sour cherries external sales. For sweet cherries Belarus partly replaced Russian
demand. Strong competition from markets like Turkey, Serbia and Hungary diminished Polish sour
cherry export prices, diminishing profitability of production for both the processors and farmers.
For MY 2016/17 calendar year it is forecast that Poland’s sour and sweet cherry exports will exceed
2015 level by 6 percent. Sweet cherry exports volume will require new sales destinations.
Italy and Spain are mainly focused in the intra-EU market. In MY 2015/16, Italy exported 6,715 MT of
cherries, a decline of 35 percent compared to the previous year, mainly because of reduced volumes to
Germany, the Italian leading destination, while Spain exported 26,796 MT or 30 percent below last year,
mainly to United Kingdom, Italy, Germany and France. Spain increased cherry exports to new markets
such as North Africa, Algeria, and Asia.
In MY 2015/16, Greece exported 15,200 MT of cherries, mainly to Moldova (5,092 MT), the
Netherlands (3,226 MT), and Germany (2,252).
In Hungary, tart cherries are sold to canneries and in smaller amounts to freezing plants and for fresh
fruit exports. Hungary is one of the biggest canned cherry exporters in the EU. In MY 2015/16, import
volume was negligible while the exports were around 22,800MT. Exports to the main trade partner,
Germany decreased further by 17 percent. Until 2014, Russia was the second largest foreign market of
the country to where 3,300-5,800MT of tart cherries were exported. Since the Russian embargo was put
into force, this opportunity has ended. At the same time, exports to Austria and Poland have
experienced important growth. Frozen cherry exports were also up by 7 percent to 6,100MT in 2015, of
which the vast majority was destined for Germany and Poland. Hungary is a net exporter of fresh sweet
cherries, however, its exports declined by 27 percent (to 2,386MT) in 2015. In 2016, lower volumes of
sweet cherry imports were in the domestic market than a year ago and more frozen and canned cherries
were exported. These facts could result in a moderate decrease in Hungary’s fresh fruit exports this
year.
During the first half of 2016, exports of cherries to the EU-28 decreased 54 percent resulting in an
expected decline of EU-28 cherry exports for MY 2016/17.
Table 7. EU-28 Exports of Fresh Cherries (Sweet & Sour) by Destination in MT
Country of Destination MY 2013/14 MY 2014/15 MY 2015/16
Belarus 4,160 6,681 27,560
Moldova 1,501 2,049 8,158
Switzerland 3,411 3,579 2,889
Serbia 703 414 1,881
Algeria 951 1,352 1,248
Others 32,438 24,675 5,864
Total Exports 43,164 38,750 47,600
Source: GTA
Table 8. Production, Supply and Demand Data Statistics:
Fresh Cherries,(Sweet&Sour)
EU-28
2014 2015 2016
2014/15 2015/16 2016/2017
Market Year Begin:
Jan 2014
Market Year Begin:
Jan 2015
Market Year Begin:
Jan 2016
USDA
Official New Post
USDA
Official New Post
USDA
Official New Post
Data Data Data
Area Planted 154,863 153,924 154,120 154,523 152,680
Area Harvested 151,428 150,689 150,362 149,260 146,830
Bearing Trees 0 0 0 0 0
Non-Bearing Trees 0 0 0 0 0
Total Trees 0 0 0 0 0
Commercial Production 708,146 719,776 708,600 699,253 623,664
Non-Comm. Production 37,271 37,883 37,295 36,803 32,824
Production 745,417 757,659 745,895 736,056 656,488
Imports 42,300 42,337 40,000 36,737 60,000
Total Supply 787,717 799,996 785,895 772,793 716,488
Fresh Dom. Consump. 424,405 421,906 436,038 415,050 378,738
Exports 38,800 38,750 47,000 47,600 30,000
For Processing 324,212 339,040 302,557 309,843 307,450
Withdrawal From 300 300 300 300 300
Total Distribution 787,717 799,996 785,895 772,793 716,488
HA, 1,000 TREES, MT
Source: FAS Europe offices
Policy
Stone fruit falls under the EU fruit and vegetables regime and is part of the Common Agriculture Policy
(CAP). The following section explains the main elements of the EU fruit and vegetables policy that
refer to the stone fruit sector. The second part explains the EU measures that were taken in response to
the Russian embargo.
I. EU Policy Related to Stone Fruit
1. The New Common Agriculture Policy (CAP) Reform
The single Common Market Organization (CMO) provides a framework for market measures under the
CAP, which is outlined in Regulation (EU) No 1308/2013, and entered into force on January 1, 2014.
The CAP 2020 reform consists of four basic regulations, supplemented by delegated acts. Commission
Delegated Regulation (EU) No 499/2014, which entered into force on May 16, 2014, amended the
implementing rules for the fresh and processed fruit and vegetables sectors (Commission implementing
Regulation (EU) No 543/2011).
These market measures aim to:
a) Create a more competitive and market-oriented sector
Producer Organizations (POs) are still the key elements in the EU's CMO for fruit and vegetables. POs
are legal entities established by producers to market commodities, including stone fruit. EU subsidies
are not paid to individual producers but are channeled through POs. In order to qualify for EU
subsidies, a PO must submit an operational program financed through an operational fund. The EU's
financial contribution is paid directly into each PO’s operational fund. The calculation of the estimated
amount of the operational fund is based on the operational program and the value of the marketed
production. As of January 20, 2014, operational programs are approved under the Regulation (EU) No
1308/2013. Commission Delegated Regulation 499/2014 introduced new elements regarding the
operational programs and clarified the criteria with which the POs must comply in order to be eligible
for EU funding. It also introduced a sanction mechanism in the case of non-compliance.
Fresh fruit and vegetable imports into the EU are checked for compliance with EU-harmonized
marketing standards. These standards apply at all marketing stages and include criteria such as quality,
size, labeling, packaging, and presentation. Commission implementing Regulation (EU) No 543/2011
provides for a general marketing standard for all fresh fruits and vegetables. Specific marketing
standards are still in place for ten products, including peaches and nectarines, and are set out in Part B of
Annex I on page 86 (section 5).
b) Diminish crisis-related fluctuations in producers’ income
To achieve this objective, EU funding is offered under the operational programs for:
- Product withdrawal
- Green harvesting/non-harvesting;
- Promotion/communication tools;
- Training measures;
- Harvest insurance;
- Assistance to secure bank loans, and support for administrative costs associated with setting up
mutual funds.
National authorities must determine, in their national strategies, which of these instruments can be
funded in their countries. POs may take out loans on commercial terms to finance crisis prevention and
management measures. The repayment of the capital and the interest on those loans may be eligible for
financial assistance under the operational programs of POs.
c) Encourage increased consumption of fruit and vegetables in the EU
The European “School Fruit Scheme” (SFS) originated in 2009 as a measure to combat child obesity and
includes three elements: free distribution of fruit and vegetables in schools, information campaigns on
healthy eating habits, and monitoring and evaluation. As in previous years, the EU funds of $164
million (€150 million) was allocated in the school year 2016/2017 to 25 Member States that decided to
participate in the program - with Sweden, Finland and United Kingdom opting out.
The Regulation on the new School Scheme for Milk, Fruit and Vegetables was published in the Official
Journal on May 24, 2016. Regulation EU No 2016/791 will apply as of August 1, 2017.
The sector may also benefit from the European promotion budget for agricultural products and quality
schemes. The Commission reformed its promotion policy with an extension of the product scope and a
greater focus on export markets. The promotion budget will increase gradually from $76 million (€60
million) to $255 million (€200 million) annually until 2020. National co-funding will no longer be
needed and EU associations will be able to apply directly for a program.
d) Increase the use of environmentally friendly cultivation and production techniques
At least 10 percent of operational program funding must be spent on environmental actions that go
beyond mandatory environmental standards. MS with recognized POs must draw up a National
Framework for Environmental Action (NEF) as part of their “national strategy for sustainable
operational program.” The NEF must contain a non-exhaustive list of environmental actions and the
conditions applicable to them in the MS concerned.
For information on the CAP after 2014, please see: http://ec.europa.eu/agriculture/cap-post-
2013/index_en.htm
2. Certification of Fruit Shipments
Plant products need a phytosanitary certificate to be exported to the EU. Phytosanitary certificates
issued by a USDA/Animal Plant Health Inspection Service (APHIS) inspector are required to
accompany fruit, vegetable, and nut shipments. APHIS issues phytosanitary certificates in accordance
with international regulations established by the International Plant Protection Convention of the Food
and Agriculture Organization of the United Nations. This standard-setting body coordinates cooperation
between nations to control plant and plant product pests and to prevent their spread.
Council Directive 2000/29/EC contains provisions concerning compulsory plant health checks. This
includes documentary, identity, and physical plant health checks to verify compliance with EU import
requirements. More information can be accessed on DG Health and Consumer Protection's website
http://ec.europa.eu/food/plant/organisms/imports/inspection_en.htm.
Commission Regulation 1756/2004 provides for plant health checks to be carried out at reduced
frequency when justified. The list of products recommended for plant health checks at reduced levels
was issued on October 22, 2015 . On an annual basis, the Commission monitors imports of fruit and
vegetables to determine how to adjust the frequency of testing consignments.
3. Maximum Residue Levels for Fruit
Maximum Residue Levels (MRLs) for pesticides, including import tolerances, have been harmonized
throughout the EU since September 2008. As a marketing tool, some retail chains in the EU adopt
private standards that exceed EU regulations by requiring their suppliers to adhere to stricter company
policies that limit the maximum residues to 30, 50, or 70 percent of the respective EU MRL. Please find
the link to the EU MRL database , as well as to the International MRL database developed by USDA
for MRLs worldwide.
4. Tariffs
EU imports of fresh fruit and vegetables are subject to the Entry Price System (EPS) which has been in
place in its current form since the Uruguay Round. It is a complex tariff system that provides a high
level of protection to EU producers. In this system fruits and vegetables imported at or above an
established entry price are charged an ad valorem duty only. Produce valued below the entry price are
charged a tariff equivalent in addition to the ad valorem duty. The tariff equivalent is graduated for
products valued between 92 and 100 percent of the entry price. The ad valorem duty and the full tariff
equivalent are levied on imports valued at less than 92 percent of the entry price.
Commission Delegated Regulation (EU) No 499/2014 has introduced provisions on the entry price
system, which aligns the clearance of goods that are subject to the entry price to the Custom Code.
These provisions, applicable since October 1, 2014, introduced a flat rate, which is the standard import
value, to clear customs when products are sold on consignment.
Tariff levels for 2016 are published in Commission Implementing Regulation 2015/1754.
The tariffs for stone fruit remain unchanged compared to the levels of 2014 and can be found on page 97
for cherries, peaches and nectarines. The United States tends to sell high quality products at higher
prices which typically do not face additional duties.
II. Russian ban on agricultural products
On August 7, 2014, the Russian government implemented a ban for one year on a range of agricultural
and food products, including citrus fruit, from the United States, the European Union (EU), Canada,
Australia, and Norway, in response to U.S. and EU sanctions over Russian actions in Ukraine. The
CMO rules (see Regulation 1308/2013 in part I) provide various market management tools to stabilize
markets and the Commission is also empowered under the reformed CAP to take "exceptional
measures" in case of market disruption. As such, the Commission introduced specific market support
measures for the European fruit and vegetables sector since the start of the ban in 2014.
Commission Delegated Regulation (EU) 2016/921 introduces the new aid scheme for fruit and
vegetable producers as the ban continues through 2017. It extends the previous scheme in the coming
weeks but with a lower budget and ceilings for volumes to be withdrawn as operators have found new
markets since the beginning of the Russian import ban. As before, the Commission proposes an
additional quantity of up to 3000 tons for all Member States to further stabilize the market. The aid for
market withdrawals and free distribution entered into force on July 1, 2016, and producers of fruit and
vegetables have until July 31, 2017, to apply for their allocation.
More information on the Commission’s response to the Russian ban can be found here:
http://ec.europa.eu/agriculture/russian-import-ban/index_en.htm
III. French ban of Dimethoate on cherries
On April 22, 2016, France temporarily banned the import and sale of cherries imported from countries
where the chemical product dimethoate can be used on cherries and cherry trees. It follows the French
ban on use for domestic production. Dimethoate was used to fight Drosphila suzukii, an Asian fruit fly
which causes considerable damages in cherry orchards but is suspected by France of being dangerous to
human health. France imports roughly one fifth of its consumption, the bulk coming from EU countries
including some (such as Spain, Italy and Spain) that have already banned dimethoate. The French
prohibition will de facto suspend imports of cherries from the United States, valued at around $1 million
annually. On the other hand, as France’s production is likely to be impacted by the ban on the pesticide,
French cherries are likely to be scarcer and more expensive, creating opportunities for competitors on
traditional French export markets such as the UK. The EU has not officially reacted to the French
decision but fruit importers and traders fear that France may soon implement a similar domestic ban
against other EU-approved pesticides or chemicals, de-facto shutting down the free movement of EU
and third country fruit and vegetables into France. For more information, see GAIN FR1606 (U.S.
Cherries Exports to France hit by French Pesticide Ban).
Trade Shows
Trade shows in Europe offer excellent opportunities for U.S. exporters to meet potential clients or
business partners from EU countries and other continents. The most important trade shows related to
the fruit and vegetable sectors are:
Fruit Logistica
Fruit Logistica
Berlin, Germany (Interval: yearly)
Target Market: Germany/EU/Central & Eastern Europe
Good venue for exhibiting fresh and dried fruit, nuts and related products
http://www.fruitlogistica.de
Next Fair:
February
08-10, 2017
Fruit Logistica is one of the most important trade shows for fresh and dried fruits in Europe. The next
show will take place on February 8-10, 2017. More than 2,400 companies from across the entire fresh
produce value chain will participate, including major global players as well as small and medium-sized
suppliers from around the world.
Bio Fach
Bio Fach
Nuremberg, Germany (Interval: yearly)
Target Market: Germany/Europe
The leading European trade show for organic food and non-food products
http://www.biofach.de
Next Fair:
February
14-19, 2017
Bio Fach is one of the most important trade shows for organic products in Europe. The next show will
take place on February 14-19, 2017.
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